What steps is the Welsh Government taking to encourage private sector investment into the Welsh life sciences industry?
The Welsh Government is working across the life sciences sector to co-ordinate our life sciences activities. Set in the context of the Welsh Government’s Innovation Strategy, the aim is to find ways in which to build an ecosystem for innovation and life sciences that is integrated, supports national ‘health and wealth’ and is recognised internationally using a ‘One Wales’ approach and voice. The aim will be to further develop the enabling conditions for life science companies to grow and prosper and support the commercialisation of innovations from industry and the NHS in Wales.
The importance of Wales to the UK life sciences sector has been highlighted in two sets of recent figures that demonstrate strong performance in key aspects of life sciences businesses in Wales. Figures from the Office for Life Sciences (OLS), released in December 2022, demonstrate strong growth in income and employment for life sciences businesses in Wales. And the latest export figures for Wales reveal the growing global influence of Welsh life sciences. The figures, published in December 2022, and including data up to the third quarter of 2022, show significant growth in exports for the life sciences industry.
The Welsh life sciences industry is built on an excellent science base and a business friendly environment, it has both pillars crucial for economic growth. With one of its strategic aims being to help drive this economic development through business growth and jobs, Welsh Government directly invests in the Life Sciences Hub Wales (LSHW) to catalyse innovation and collaboration between industry, health, social care, and academia.
A recent successful example of their collaborative work is that support given by the LSHW in partnership with colleagues from Welsh Government to Cytiva, a global life sciences leader dedicated to advancing and accelerating therapeutics, saw the expansion of its current operations at Cardiff Edge. Investment of £36m created over 200 new jobs and an expansion of its facilities by some 70,000 sq ft to produce a product critical to the global supply chain for Covid-19 vaccinations.
Another successful example of investment in the sector is that of Chepstow-based Creo Medical’s recent expansion and creation of 85 well-paid jobs over 3 years. The high technology medical device company specialises in the emerging field of surgical endoscopy, which aids minimally invasive surgery by applying microwave and radio wave energy. The company is set to build a new research and development (R&D) manufacturing centre on its current site. It will use the Welsh Government’s Economy Futures Fund investment to invest in expanding its premises and in state of the art manufacturing equipment.
Over the last 5 years businesses operating in the sector have been and continue to apply to a range of funds now operated by the Development Bank of Wales directly. Funds such as the Wales Flexible Investment Fund offer both equity investment and patient capital borrowing opportunities.